This week Reliant Energy is sending out notices to its month to month customers about rate changes. The company is increasing the price of the month to month rate to 16.3 cents per kilowatt hour. In January, the rate was 13.5 cents per kilowatt hour.
Some customers may not even realize they are on a month to month plan. If you had a long term contract that recently came to an end and did not pick a new plan yourself, you were automatically put on a month to month plan.
Reliant Energy spokesperson Pat Hammond explained, "We've seen natural gas prices go up 70% since January 1, so customers who were on month to month products really with any provider, including Reliant, are going to be seeing higher prices this summer."
The way Reliant calculates its month to month plan is also changing. In the past month to month bills went up or down every three months. Now the month to month plan has the potential to change every single month.
Power providers across the state are raising rates because of the cost of natural gas. Consumers can try to lock in lower rates by signing long term plans.
You can learn more about electricity providers and plans on PowerToChoose.org.